First the obvious thing, changing LPI will change the size of the dots in your Photo. a low LPI, like 60 will make the dots in the photo readily apparent(not always a bad thing). A high LPI like 133 will make the dots so small many pictures will come out as a big blob of ink on the duplicator.
Secondly, Quark will downsample any TIFF image to twice the resolution of your LPI, so a 65LPI setting means you are printing 130dpi TIFFs, again, this isn't such a bad thing, since there are only so many dots in the image on the duplicator, and means your files will print faster. When printing to a color copier however, this is a bad thing, since they don't use dots, a low LPI setting will result in "jaggy" images due to the low resolution.
Last, i've noticed the LPI setting greatly affects the smothness of Color Blends in Quark. THis only applies to actual blends you create in Quark. Make a box 10 inches long, half an inch wide and tell quark to fill it with a blend from 100% red to 0% red, on the screen you will see a nice subtle fading line from dark to light. If your LPI setting is low (65) it prints the same way with delicate blends. If your LPI is high (133) then it will contain obvious steps from one color to the next. I don't know why.
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